Xiangzhou District, Zhuhai

As of June 30, the total loan balance of Zhuhai private enterprises rose by 12.17 percent from the beginning of the year to 115.2 billion yuan ($17 billion), with their average annualized interest rates dropping by 0.25 percentage points to 5.36 percent.

The Zhuhai Bureau of the China Banking & Insurance Regulatory Committee has made full use of its instructional and supervisory role in addressing the financial difficulties of private enterprises. It has encouraged local banks to prioritize private enterprises and provide them loans with low interest rates.

The banks have rolled out a wide variety of customized products to meet the different demands of enterprises. The Zhuhai Branch of Bank of China innovated its guarantee mode, allowing stock equity, receivables, and intellectual property to be used for hypothecation. The Zhuhai Rural Commercial Bank no longer requires enterprises to pay off their loans before taking out a new one.

Zhuhai Rural Commercial Bank [Photo courtesy nfdaily.cn]

In addition, the banking financial institutions also strived to assist private enterprises by improving loan pricing and fee reduction mechanisms. The load interest rate of Zhuhai Branch of Bank of China for small and micro enterprises is now as low as 4.8 percent.

The Zhuhai Bureau of China Banking & Insurance Regulatory Committee also strictly controls the over-charging of local banks. In the first half of this year, a total of 128 charge items have been cancelled, merged, or reduced.

The city's banking industry has also improved the financing efficiency of private enterprises through strengthened cooperation with the taxation bureau.